IREN Shares Surge on Strong Earnings and NVIDIA Partnership
Bitcoin miner and AI cloud operator beats Q4 estimates, projecting up to $250 million in annualized AI revenue by end of 2025.
Shares of IREN Limited (IREN) rallied in extended trading on Thursday after the company posted fourth-quarter earnings that significantly surpassed analyst expectations and announced it had achieved NVIDIA Preferred Partner status, signaling a major boost for its burgeoning AI cloud business.
The data center operator reported quarterly earnings of 66 cents per share, more than quadrupling the consensus estimate of 14 cents. Revenue for the quarter reached $187.3 million, a 226% increase from the $52.76 million reported in the same period last year and slightly ahead of analysts' projections.
The strong financial performance was coupled with the strategic announcement of becoming an NVIDIA Corp. (NVDA) Preferred Partner. This development solidifies IREN's expansion from its roots in Bitcoin mining into the high-demand market for artificial intelligence infrastructure. The company projects its AI Cloud division will generate between $200 million and $250 million in annualized revenue by December 2025, supported by a growing arsenal of 10,900 NVIDIA GPUs.
"FY25 was a breakout year financially and operationally, with record results that included strong net income and more than 10x EBITDA growth," said Daniel Roberts, Co-CEO of IREN. He noted the company had tripled its operating data center capacity to 810MW while laying the foundation for this rapid growth in its AI business.
Following the news, IREN's stock price jumped 7.94% to $24.87 in after-hours trading, as investors reacted positively to both the earnings beat and the strategic pivot towards AI, which complements its established Bitcoin mining operations that currently generate over $1 billion in annualized revenue.